Just in time for end-of-the-year health savings account spending, 23andMe is offering a new standalone “Health Service” option for people looking to apply their HSA & FSA funds toward purchasing an at-home DNA test.
This offers another option to customers who only want to delve into reports about their health predispositions,* carrier status,* or wellness. The new standalone service also makes it easier for U.S. residents to use money set aside in their Flexible Spending Account (FSA) or Health Savings Account (HSA) for their 23andMe Health Service purchase.
An Internal Revenue Service ruling in 2019 first allowed customers to use FSA & HSA funds for a portion of the cost for their Health + Ancestry Service. The new Health Service makes that much simpler because the full cost may be eligible.
In the United States, FSAs and HSAs both allow you to set aside a certain amount of your pre-tax income each year for qualified medical care expenses. Qualified medical care expenses may include such things as co-pays for doctor’s visits, prescription medications, glasses, and sunscreen.
The rule also means the full cost of the 23andMe Health Service should be an eligible medical expense. You can check with your FSA/HSA administrator for eligibility.**
23andMe Health Service
The standalone 23andMe Health Service includes more than 10 health predisposition reports for conditions* such as Type 2 Diabetes (powered by 23andMe research), Celiac Disease, Age-Related Macular Degeneration, and Parkinson’s Disease; as well as more than 40 carrier status reports* for conditions like Cystic Fibrosis and Sickle Cell Anemia. Customers also receive wellness reports on sleep movement, muscle composition, and genetic weight.
In addition, the Health Service includes health action recommendations, as well as a lifestyle dashboard that compares your diet and activity to other 23andMe users. The service also includes a place to track lab results and an area where you can see insights from 23andMe research. You can also connect, message, and share with friends and family if you wish.
You can learn about 23andMe’s other product offerings here.
FSA v. HSA
It’s important to understand that while the definition of what is an eligible medical expense that is covered under both FSAs and HSAs is the same, the eligibility for and terms of these two types of accounts are different.
For instance, FSAs are a benefit offered through an employer and have a lower contribution limit.
In the past, money in FSA plans couldn’t be carried over into the next year, so employees had to “use it or lose it” – that is, if they didn’t spend the funds they had set aside, they would lose those funds. But during the pandemic, a grace period allowed individuals to use 2020 FSA funds through the end of 2021 and from 2021 through the end of 2022. HSAs, on the other hand, are available to individuals enrolled in a high-deductible health plan (HDHP), and that money can roll over year to year.
You can find out more about the two types of accounts here.
*The 23andMe PGS test includes health predisposition and carrier status reports. 23andMe health predisposition reports include both reports that meet FDA requirements for genetic health risks and reports which are based on 23andMe research and have not been reviewed by the FDA. The test uses qualitative genotyping to detect select clinically relevant variants in the genomic DNA of adults from saliva for the purpose of reporting and interpreting genetic health risks. It is not intended to diagnose any disease. Your ethnicity may affect the relevance of each report and how your genetic health risk results are interpreted. Each genetic health risk report describes if a person has variants associated with a higher risk of developing a disease, but does not describe a person’s overall risk of developing the disease. The test is not intended to tell you anything about your current state of health, or to be used to make medical decisions, including whether or not you should take a medication, how much of a medication you should take, or determine any treatment. Our carrier status reports can be used to determine carrier status, but cannot determine if you have two copies of any genetic variant. These carrier reports are not intended to tell you anything about your risk for developing a disease in the future, the health of your fetus, or your newborn child’s risk of developing a particular disease later in life. For certain conditions, we provide a single report that includes information on both carrier status and genetic health risk. For important information and limitations regarding each genetic health risk and carrier status report, visit 23andme.com/test-info/.
**Check with your specific FSA/HSA benefits coordinator and/or your tax professional for confirmation on the specific requirements for reimbursement including eligibility, usage, procedures and qualifications.